Question : An increase of Rs.150 crore in investment leads to a rise of Rs.900 crore in the national income. Calculate the value of multiplier.
Option 1: 4
Option 2: 3
Option 3: 6
Option 4: 9
Correct Answer: 6
Solution :
Question : An increase in investment by Rs.500 leads to increase in national income by Rs.2000 crore. Calculate marginal propensity to consume.
Option 1: 5
Option 2: 4
Option 3: 3
Option 4: 5
Question : An increase in investment by Rs.200 leads to increase in national income by Rs.1400 crore. Calculate marginal propensity to consume.
Option 1: 0.45
Option 2: 0.35
Option 3: 0.85
Option 4: 0.65
Question : An increase in investment by Rs. 400 leads to increase in national income by Rs. 2000 crore. Calculate marginal propensity to consume.
Option 1: 0.80
Option 2: 0.75
Option 3: 0.60
Option 4: 0.50
Question : With increase in national income by Rs.5000 crore, investment increased by Rs.10000 crore, the value of multiplier is
Option 2: 2
Option 3: 1
Option 4: 0.5
Question : Suppose an additional investment of Rs. 6000 crore In an economy generates an additional income of Rs. 18000 crore. The value of multiplier is
Option 1: 3 .
Option 2: 6
Option 3: .33
Option 4: None of the above
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